Novelty shop on the high street

Walk-in shoppers, tourists, families and people looking for last-minute gifts and party items.

You sell stock at a mark-up. Seasonal peaks such as Christmas, Halloween and birthdays matter, and add-on sales like cards and wrapping help.

• Choosing stock that suits your customers
• Stock control and budgeting
• Friendly customer service

• Commercial lease terms and business rates: check what you would pay and whether small business rate relief applies
• Public liability insurance, plus buildings and contents cover as needed
• Product safety rules for toys, electrical goods and items for children
• Employer's liability insurance once you hire staff
• Seasonal sales swings can make cash flow tight, so plan for slower months

Startup costs are typically around £8,000 to £40,000, depending on your premises, fit-out and opening stock. Lease terms and business rates also matter, so treat these as estimates.

Monthly revenue is typically around £3,000 to £15,000, depending on footfall, location and stock. Seasonal sales swings can make cash flow tight, so plan for slower months.

Check commercial lease terms and business rates, including whether small business rate relief applies. Also check public liability insurance, product safety rules for toys, electrical goods and children's items, and employer's liability insurance once you hire staff.